
THE seizure last May 6 by the Bureau of Customs (BoC) of the eight 40-footer container vans of onions from China worth P6.4 million at the Davao port may only be the tip of the proverbial iceberg.
Senator bares
onion smuggle
This, after Senator Francis “Kiko” Pangilinan, chair of the Senate Committee on Food and Agriculture and co-chair of the Congressional Oversight Committee on Agriculture and Fisheries Modernization (COCAFM), bared last week that a conservative average of ten 14-footer container vans, with around 350,000 kilos of smuggled onions, enter the Cagayan de Oro and Davao ports each week.
He based the figures on “field data” reaching the COCAFM.
In fact, not only Pangilinan has mentioned Davao and Cagayan de Oro as entry point of contraband goods. Former Economic Secretary Cielito Habito also commented in his column in the Philippine Daily Inquirer last May 31, 2011 how unchecked smuggling has made life more difficult for Filipinos.
“Rampant smuggling of various products ranging from onions to motor vehicles is stealing the business from domestic producers, and consequently jobs from Filipino workers,” Habito said.
Anti-smuggling bill
Speaking to members and guests of the Rotary Club of East Davao last Tuesday, Rep. Lorenzo “Erin” Tañada III discussed the importance of the anti-smuggling law he and some colleagues in the House of Representatives have been trying to pass for several Congresses now.
Tañada revealed that the House had already passed its version of the proposed law, but when it reached the Senate, Sen. Ralph Recto’s committee sat on it and didn’t schedule even a single hearing on the proposal.
Last May 6, Customs Commissioner Angelito Alvarez issued a seizure order to Customs officials in Davao which effectively prevented the entry of nearly 130,000 kilos of onions into the local market for not being covered with an import permit and phytosanitary certificate from the Bureau of Plant and Industry (BPI). The unauthorized shipment was consigned to Red Jaguar Merchandise, a Davao-based company that regularly imports onions from China.
According to Edmundo B. Magdaraog, acting district collector of BoC-Davao, “it was the first time we seized container vans of onions with this volume at the Davao Port.”
Farmers complain
Yet, onion farmers from the Sibuyas ng Pilipinas ay Ating Alagaan Foundation (Sipag), rued the continued entry of imported onions, particularly “through the country’s backdoor, Mindanao,” referring to Cagayan de Oro and Davao City ports.
They had observed that vessels offload onions via Cagayan de Oro and Davao ports, which are then transported to the Visayas and Luzon aboard inter-island vessels. The imported onions, they complain, are being sold openly in Manila’s Divisoria and by several big chain retail supermarkets in the entire country.
The group pointed out that the last time the DA issued onion import permits was in January 2010 or a period of one year and five months ago, and yet onions in cold storage have a shelf life of only 10 months. “That means that the imported onions are smuggled,” the group insists.
Agriculture Secretary Proceso J. Alcala had earlier vowed to work for the blocking of agricultural and livestock imports to benefit local growers.
He said that he is supporting moves to impose a 35 -percent tariff on pork offals and to continue to stop the importation of onions, although the final decision would still be made by the Tariff Commission.
Alcala asks
BOC to act
Alcala also reassured onion growers that he would continue to protect the sector from the entry of imported onions, and even personally appeal to the Bureau of Customs to investigate the continued entry of imported onions by big retail and commercial establishments.
Sipag renewed its appeal to the DA and the BoC to focus anti-smuggling efforts in Mindanao to which illegal shipments from China and India have been diverted.
Onion growers said, following Alcala’s decision to stop issuance of onion import permits, that they farmers are benefitting from farmgate prices of P100. Sipag president Francisco Collado, however, warned that with the reported shipments from Davao to the Visayas and Luzon, “our efforts would be useless.”
Pangilinan has called on the Department of Finance to create an inter-agency task force to address smuggling and help increase the income of local farmers while assuring food security.
Pangilinan, who co-convened the Agriculture and Fisheries 2025 Summit in February this year along with the Department of Agriculture, COCAFM, and private sector representatives, said that smuggling is one of the top concerns of both farmers and agri-businessmen around the country.
P100-billion tax leak
“Reports show that at least P100 billion of potential government revenues are lost with the continuous entry of smuggled goods and agricultural products, such as onions, rice, garlic, carrots, poultry, pork, and sugar,” he said.
Pangilinan said the task force should be the vehicle that will “mobilize the stakeholders and government in sharing information on smuggling activities and alerting the Bureau of Customs.”
“This task force will also look into marshalling legal support for case buildup, evidence gathering, and the filing of cases against erring customs officials,” Pangilinan added.
He warned about the long-term, devastating effects of smuggling on the livelihood of farmers if steps aren’t taken to curb it.
“Kapag hindi natin nasolusyonan ang iligal na pag-aangkat ng mga produktong agrikultural sa bansa, hindi lang ang gobyerno ang tatamaan,” Pangilinan said. “Mas tatamaan ang magsasakang nagbabanat ng buto para pakainin ang sambayanan. Nawawalan sila ng kita at lumiliit ang kakayahan nilang makapagbigay ng sapat na pagkain para sa taumbayan.”
Pangilinan also linked the Aquino administration campaign slogan, “Kung walang corrupt, walang mahirap” to the current situation of smuggling in agriculture.
“Kung walang iligal na pag-aangkat, magsasaka’y aangat at lahat kakain nang sapat,” he added.
DA-Searca study
The lawmaker also cited an ongoing study by the Department of Agriculture-Bureau of Agricultural Research (DA-BAR) and the Southeast Asian Ministers of Education Organization-Regional Center for Graduate Study and Research in Agriculture (SEAMEO SEARCA) that is investigating the effects and the extent of agricultural smuggling to the country.
Pangilinan recalled that during the first steering committee meeting of the DA-SEAMEO SEARCA project, Ms. Ma. Rosario V. Acosta, Customs Operations Officer of the Bureau of Customs, was quoted as saying that aside from the Bureau of Customs—which falls under the Department of Finance—other agencies are mandated to monitor and help curb illegal trade activities.
He reiterated the urgency of convening a multi-agency, multi-sectoral body to address the escalating situation.
“Smuggling is an urgent problem that the Bureau of Customs cannot solve on its own. We need the support of other government agencies, especially the private sector to ensure that our local producers are protected against the illegal entry of foreign commodities. We need to take care of our people, especially those who tirelessly work to put food on our tables,” Pangilinan said.
United front needed
“Among others, we should build a united front against smuggling. Across sub-sectors—be it vegetables or meat, or rice, corn, or sugar. Smuggling hurts our farmers and the local industry. It must be met with forceful intervention. We should unleash People Power and defeat ‘smuggling power,” he said
“We must send the signal to the smugglers that we will not simply watch and stand idly by as they wreak havoc on an industry we consider vital for national progress,” he added.
THE seizure last May 6 by the Bureau of Customs (BoC) of the eight 40-footer container vans of onions from China worth P6.4 million at the Davao port may only be the tip of the proverbial iceberg.
Senator bares
onion smuggle
This, after Senator Francis “Kiko” Pangilinan, chair of the Senate Committee on Food and Agriculture and co-chair of the Congressional Oversight Committee on Agriculture and Fisheries Modernization (COCAFM), bared last week that a conservative average of ten 14-footer container vans, with around 350,000 kilos of smuggled onions, enter the Cagayan de Oro and Davao ports each week.
He based the figures on “field data” reaching the COCAFM.
In fact, not only Pangilinan has mentioned Davao and Cagayan de Oro as entry point of contraband goods. Former Economic Secretary Cielito Habito also commented in his column in the Philippine Daily Inquirer last May 31, 2011 how unchecked smuggling has made life more difficult for Filipinos.
“Rampant smuggling of various products ranging from onions to motor vehicles is stealing the business from domestic producers, and consequently jobs from Filipino workers,” Habito said.
Anti-smuggling bill
Speaking to members and guests of the Rotary Club of East Davao last Tuesday, Rep. Lorenzo “Erin” Tañada III discussed the importance of the anti-smuggling law he and some colleagues in the House of Representatives have been trying to pass for several Congresses now.
Tañada revealed that the House had already passed its version of the proposed law, but when it reached the Senate, Sen. Ralph Recto’s committee sat on it and didn’t schedule even a single hearing on the proposal.
Last May 6, Customs Commissioner Angelito Alvarez issued a seizure order to Customs officials in Davao which effectively prevented the entry of nearly 130,000 kilos of onions into the local market for not being covered with an import permit and phytosanitary certificate from the Bureau of Plant and Industry (BPI). The unauthorized shipment was consigned to Red Jaguar Merchandise, a Davao-based company that regularly imports onions from China.
According to Edmundo B. Magdaraog, acting district collector of BoC-Davao, “it was the first time we seized container vans of onions with this volume at the Davao Port.”
Farmers complain
Yet, onion farmers from the Sibuyas ng Pilipinas ay Ating Alagaan Foundation (Sipag), rued the continued entry of imported onions, particularly “through the country’s backdoor, Mindanao,” referring to Cagayan de Oro and Davao City ports.
They had observed that vessels offload onions via Cagayan de Oro and Davao ports, which are then transported to the Visayas and Luzon aboard inter-island vessels. The imported onions, they complain, are being sold openly in Manila’s Divisoria and by several big chain retail supermarkets in the entire country.
The group pointed out that the last time the DA issued onion import permits was in January 2010 or a period of one year and five months ago, and yet onions in cold storage have a shelf life of only 10 months. “That means that the imported onions are smuggled,” the group insists.
Agriculture Secretary Proceso J. Alcala had earlier vowed to work for the blocking of agricultural and livestock imports to benefit local growers.
He said that he is supporting moves to impose a 35 -percent tariff on pork offals and to continue to stop the importation of onions, although the final decision would still be made by the Tariff Commission.
Alcala asks
BOC to act
Alcala also reassured onion growers that he would continue to protect the sector from the entry of imported onions, and even personally appeal to the Bureau of Customs to investigate the continued entry of imported onions by big retail and commercial establishments.
Sipag renewed its appeal to the DA and the BoC to focus anti-smuggling efforts in Mindanao to which illegal shipments from China and India have been diverted.
Onion growers said, following Alcala’s decision to stop issuance of onion import permits, that they farmers are benefitting from farmgate prices of P100. Sipag president Francisco Collado, however, warned that with the reported shipments from Davao to the Visayas and Luzon, “our efforts would be useless.”
Pangilinan has called on the Department of Finance to create an inter-agency task force to address smuggling and help increase the income of local farmers while assuring food security.
Pangilinan, who co-convened the Agriculture and Fisheries 2025 Summit in February this year along with the Department of Agriculture, COCAFM, and private sector representatives, said that smuggling is one of the top concerns of both farmers and agri-businessmen around the country.
P100-billion tax leak
“Reports show that at least P100 billion of potential government revenues are lost with the continuous entry of smuggled goods and agricultural products, such as onions, rice, garlic, carrots, poultry, pork, and sugar,” he said.
Pangilinan said the task force should be the vehicle that will “mobilize the stakeholders and government in sharing information on smuggling activities and alerting the Bureau of Customs.”
“This task force will also look into marshalling legal support for case buildup, evidence gathering, and the filing of cases against erring customs officials,” Pangilinan added.
He warned about the long-term, devastating effects of smuggling on the livelihood of farmers if steps aren’t taken to curb it.
“Kapag hindi natin nasolusyonan ang iligal na pag-aangkat ng mga produktong agrikultural sa bansa, hindi lang ang gobyerno ang tatamaan,” Pangilinan said. “Mas tatamaan ang magsasakang nagbabanat ng buto para pakainin ang sambayanan. Nawawalan sila ng kita at lumiliit ang kakayahan nilang makapagbigay ng sapat na pagkain para sa taumbayan.”
Pangilinan also linked the Aquino administration campaign slogan, “Kung walang corrupt, walang mahirap” to the current situation of smuggling in agriculture.
“Kung walang iligal na pag-aangkat, magsasaka’y aangat at lahat kakain nang sapat,” he added.
DA-Searca study
The lawmaker also cited an ongoing study by the Department of Agriculture-Bureau of Agricultural Research (DA-BAR) and the Southeast Asian Ministers of Education Organization-Regional Center for Graduate Study and Research in Agriculture (SEAMEO SEARCA) that is investigating the effects and the extent of agricultural smuggling to the country.
Pangilinan recalled that during the first steering committee meeting of the DA-SEAMEO SEARCA project, Ms. Ma. Rosario V. Acosta, Customs Operations Officer of the Bureau of Customs, was quoted as saying that aside from the Bureau of Customs—which falls under the Department of Finance—other agencies are mandated to monitor and help curb illegal trade activities.
He reiterated the urgency of convening a multi-agency, multi-sectoral body to address the escalating situation.
“Smuggling is an urgent problem that the Bureau of Customs cannot solve on its own. We need the support of other government agencies, especially the private sector to ensure that our local producers are protected against the illegal entry of foreign commodities. We need to take care of our people, especially those who tirelessly work to put food on our tables,” Pangilinan said.
United front needed
“Among others, we should build a united front against smuggling. Across sub-sectors—be it vegetables or meat, or rice, corn, or sugar. Smuggling hurts our farmers and the local industry. It must be met with forceful intervention. We should unleash People Power and defeat ‘smuggling power,” he said
“We must send the signal to the smugglers that we will not simply watch and stand idly by as they wreak havoc on an industry we consider vital for national progress,” he added.



